Petronas, as the Kuala Lumpur-based company is known, set
the so-called alpha at $7.50 a barrel for December, an official
said today, asking not to be identified because of company
policy. It was $7.60 in November.

The Tapis factor, used to reflect demand for low-sulfur or
“sweet” crude in Asia, averaged $5.90 this year, up from $3.84
in 2010 and 59 cents in 2009, as refiners’ profit from making
distillate fuels increased. Gasoil’s premium to Asian-marker
Dubai crude, or the crack spread, averaged $18.95 a barrel so
far this year, from $11.52 in 2010, according to PVM Oil
Associates Ltd., a London-based broker.

Petronas includes the Tapis adjustment factor in its
monthly calculations of official selling prices. The formula is
tied to Brent produced in the North Sea, a benchmark crude for
Europe, the Mediterranean and Africa.